Friday, February 28, 2025

Dear Shareholders and Investors,

Ninety day periods offer a short-term snapshot of a company, but it is more instructive to look at the bigger, longer-term picture. The direction of NAT is unquestionably upwards as we create room for profitable growth. Whatever we do, dividends remain our primary objective.

As part of our plan to buy a few ships and sell a few ships, we have since the end of 2024 agreed to purchase one 2016-built suezmax tanker from a first class owner. The vessel will be delivered to NAT during the second quarter of this year. The price is in the mid/high 60’s. The new unit will provide additional earnings and dividend capacity to NAT. We expect the vessel to be financed with cash and lease financing.

As previously advised, we have sold one of our 2003-built suezmax tankers and the vessel was delivered to its new owners earlier this week. The proceeds from this sale ($23 mill) will also enhance our financial flexibility.

Highlights:

  1. NAT achieved a net voyage revenue for the full year 2024 of $225 million and a net result of $46.6 million. The average time charter equivalent (TCE) for our fleet (spot & TC vessels) during the fourth quarter of 2024 came in at $26,416 per day per ship, leaving NAT with a solid operating margin as running costs per vessel are about $9,000 per day.

  1. The dividend for the fourth quarter is 6 cents ($0.06) per share. This is our 110th consecutive quarterly cash dividend declaration. The dividend is payable March 24, 2025, to shareholder on record as of March 10, 2025.

  1. The new administration in the White House is increasing the pressure on sanctioned oil trades and sanctioned vessels. This is one reason why we are optimistic about prospects for 2025, as there will be more transportation work for NAT, a fully compliant company in all respects.  NAT has not transported Russian oil the last 3.5 years.

  1. Following the new and improved $150 million financing agreement with Beal Bank, seven of our vessels are not encumbered and are debt free, thus providing us with greater financial flexibility.

  1. In addition, we have exercised the purchase option for two of our 2018-built vessels that are lease-financed through Ocean Yield, one of our two well-established financial partners. The vessels will be transferred to us during the third quarter this year. The market value of these vessels is well in excess of the outstanding loan which gives us extra maneuverability.

  1. Thanks to careful voyage planning and adjustment of speed, we continue to reduce emissions of our vessels.

  1. Each ship in the NAT fleet is in excellent technical condition, as proven by the vetting performance.


Sincerely,

Herbjorn Hansson
Founder, Chairman & CEO

Nordic American Tankers Ltd. www.nat.bm

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts.

The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “anticipate,” “intend,” “estimate,” “forecast,” “project,” “plan,” “potential,” “will,” “may,” “should,” “expect,” “pending” and similar expressions identify forward-looking statements.

The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, our management’s examination of historical operating trends, data contained in our records and other data available from third parties. Although we believe that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, we cannot assure you that we will achieve or accomplish these expectations, beliefs or projections. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.

Important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand in the tanker market, as a result of changes in OPEC’s petroleum production levels and worldwide oil consumption and storage, changes in our operating expenses, including bunker prices, drydocking and insurance costs, the market for our vessels, availability of financing and refinancing, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off-hires and other important factors described from time to time in the reports filed by the Company with the Securities and Exchange Commission, including the prospectus and related prospectus supplement, our Annual Report on Form 20-F, and our reports on Form 6-K.

Contacts:

Bjørn Giæver, CFO
Nordic American Tankers Ltd
Tel: +1 888 755 8391

Alexander Kihle, Finance Manager
Nordic American Tankers Ltd
Tel: +47 91 724 171


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